Monday, October 1, 2012

Is the End Near?


Is the End Near?


It seems as though the gas industry isn't as powerful as they once were. For what seems like an eternity gas and oil companies have been running the world. They are at an economic standpoint where nothing can touch them. There have been many attempts at regulating the use of gas; most have failed. This is due mainly to the fact that they are so rich and powerful that they are able to crush these challenges simply by “throwing money” at the problem. Why would the C.E.O of a major gas company want to see automotive advancements such as, solar powered cars, electric, even hybrids? Simple, they don’t therefore; they make it as difficult as possible for these technologies to succeed. The same is true for Natural Gas; technology has advanced to the point where there are alternatives such as solar power. It seems as though these technologies may finally be coming to the forefront. Canadian Gas prices are predicted to be at record lows, long term. 

Encana stock has dropped 40% over the past two years. (Discontent seen for Canadian Gas Producers) The cause? Demand is diminishing; many investors don’t see a bright future for Encana and many other Canadian Gas Companies. In my opinion, this is a bright outlook on the future for Canadians. Especially, Canadian entrepreneur’s looking to get into the energy business. Gas companies have ruled for too long, squashing the little guy time and time again. It’s time to move forward, let technology advance and bring us the “next big energy source.”
            

1 comment:

  1. As someone who has worked in the energy industry, I have to take a bit of issue with your position. Yes, natural gas prices have gone down drastically over the last few years, but this is not due to alternative technologies. Natural gas use is actually up over the past couple of years and will continue to increase as current campaigns spread to inform people of it's relatively clean nature. The real reason prices are down is because of the dramatic increase in production of natural gas, mostly from new fracking techniques that are being used to get maximum yield from existing gas deposits. This is even mentioned as the cause in the article that you linked to.
    That being said, I do agree that the time of the fossil fuel energy giant is passing, but I think they've got another 20 years or so before their time runs out.

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